Born Free
DP Veteran
- Joined
- Sep 21, 2011
- Messages
- 9,161
- Reaction score
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- Location
- Sonny and Nice
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- Political Leaning
- Conservative
Re: Voters say they’re worse off after four years of Obama, so why is Romney struggli
Your theory is based on government spending and no increase in the private sector. Have you ever considered getting government out of the way will create private sector expansion, thus being able to cut government spending. Kill the job killing and industry killing EPA, kill Dodd Frank bill, open up our lands to exploration and bring home that 500 billion we send to Oil Lords every yr and all the jobs that go with it. Kill the costly job killing Obamacare, kill regulations that slow businesses to expand, stop subsidizing businesses, all businesses. Lower the corporate tax rate, and the capital gains rate. These are just a few examples. To think you can just continue to borrow and spend to prosperity is insane. All you have to do is look at those countries in Europe and you can easily see more borrowing and spending is not the answer, further no one will give you the money.
Oh this recovery sucks. But most financial recession ones do. It really doesn't help that individuals are deleveraging as well. Savings go up, spending goes down.
QE effectively keeps borrowing rates low which does prop up some demand.
What I don't get is how some people think that just letting aggregate demand drop will somehow create more jobs. If you remove government spending and there is no corresponding increase in private sector demand, aggregate demand goes down. I've never seen an explanation how reducing demand increases jobs in the private sector. I just hear sound bites about how we need to stop spending and that will cut the deficit. Without a corresponding increase in private sector demand to replace the lost demand, revenues should decline as activity wanes.
This is the fundamental flaw of a balanced budget. Cutting to meet revenues causes aggregate demand drops which then causes less activity and less revenues until you're in default. The relations of activity to tax revenue to spending really seems to be lost on people like Mycroft. Partisans just don't seem to get that basic flow of money through the economy.
Your theory is based on government spending and no increase in the private sector. Have you ever considered getting government out of the way will create private sector expansion, thus being able to cut government spending. Kill the job killing and industry killing EPA, kill Dodd Frank bill, open up our lands to exploration and bring home that 500 billion we send to Oil Lords every yr and all the jobs that go with it. Kill the costly job killing Obamacare, kill regulations that slow businesses to expand, stop subsidizing businesses, all businesses. Lower the corporate tax rate, and the capital gains rate. These are just a few examples. To think you can just continue to borrow and spend to prosperity is insane. All you have to do is look at those countries in Europe and you can easily see more borrowing and spending is not the answer, further no one will give you the money.